The UK government forecasts that data will benefit the UK economy by up to £241 billion by 20201. Further to this, by 2025 the global datasphere will grow to 163 zettabytes, which is over 10 times the amount of data generated in 2016. For small businesses (SMEs), there is a lot to be gained from the copious amounts of data out there, yet the key to success is ensuring the information you have is good quality. Find out below how clean data can help you as an SME:
1. Increase profit margin
One way of increasing your profit margin is through customer retention. If you think about how much you spend trying to acquire new customers, you could spend far less by keeping the ones you already have and experience much higher profitability. In fact, businesses who do so, experience a 95% increase in profit2.
Data accuracy will enhance profit, therefore, your customer retention strategy should focus on the quality of the data you hold about them. Using data management solutions are a simple yet effective measure to get rid of any duplicates, goneaways, and other bad data that may hinder your profitability.
2. Capture greater market share
In order to capture greater market share, businesses need to focus on customer satisfaction3. For SMEs, accurate marketing and analysis will help increase market share by maintaining your customer base and meeting their needs. Therefore, the more accurate your marketing data is for campaigns, the more chance you have of keeping your customers happy and acquiring new ones. This in effect will place you ahead of your competitors in the race to success.
3. Become more efficient & environmentally friendly
It’s estimated that bad data can cost businesses up to 25% of their company revenue4. The vast majority of SMEs simply cannot avoid to lose that sort of money, so it’s imperative your data is squeaky clean. With an accurate database you’ll find that you waste less money on poor customer targeting, thus making you more efficient and environmentally friendly. Apparently, more than half of UK businesses are planning to increase their spend on sustainability between now and summer 2021, with a view to becoming more environmentally friendly5.
4. How about a free data quality report?
Correcting errors in your database is much more cost effective than leaving your business open to the risk of breaching data legislation, such as the GDPR. More so, data cleansing in the Cloud is a budget-friendly way for SMEs to ensure their customer data is good quality.
Hopewiser’s online Address Cleanse solution offers a no obligation FREE data quality report, so you can get a clear idea of how good or bad the quality of your data truly is. The tool will highlight how many duplicates you have, as well as goneaways, deceased matches and more. Afterwards, you can cleanse your data for as little as £35.
To find out more about how our online data solutions can help your business, get in touch today!
1 Are Britain’s Small Businesses Making the Most of the Data Revolution? (Computer Business Review 13th September 2018)
2 3 Tactics To Boost Your Profit Margin Through Customer Retention (Referral Candy 8th October 2018)
3 Ways to Increase Market Shares (Bizfluent 18th March 2019)
4 As Data Quality Declines, Costs Soar (Datanami 13th December 2017)
5 Why more than half of UK businesses are planning to increase spend on sustainability (The Telegraph 8th November 2019)